Right to Information
BEST bus service losses mount to Rs905.3 crore as income from passengers dwindle
The BrihanMumbai Electricity Supply and Transport (BEST) Undertaking, which is civic transport and electricity provider public body based in Mumbai, has suffered a massive loss of Rs905.3 crore on transportation services during FY2015-16 reveals a reply received under the Right to Information (RTI) Act. RTI activist Anil Galgali had filed the application seeking information about BEST transport services.
During FY2015-16, the BEST incurred a loss of Rs905.3 crores due to higher per passenger cost at Rs21.41 while its income generated per passenger was just Rs12.88, reveals the reply received by Galgali. During that period, over 106 crore passengers used BEST services resulting in an income of Rs1,367.11 crore. However, to run these services, BEST incurred a cost of Rs2,272.41 crore during FY2015-16, the RTI reveals.
Galgali, in a letter sent to Maharashtra Chief Minister Devendra Fadnavis and Municipal Corporation of Greater Mumbai (MCGM) Commissioner, requested to bail out the BEST transport services. During FY2014-15 and FY2015-16, the BEST administration paid Rs139.7 crore and Rs136.8 crore, respectively as tax to various authorities. 
During 2011 and 2016, the BEST administration 11 times wrote to Urban Development Ministry, Transport Ministry to either reduce or waive off taxes it pays to different authorities. However, the successive governments ignored this, Galgali alleges. 
"When in 2014-15, the BEST wanted to increase fares, the MCGM gave it a grant of Rs150 crore for not going ahead with fare increase. However, now even the MCGM is not paying any heed to the demands of BEST. To strengthen the public transport system in Mumbai, the government should constitute a separate fund, which can be used to bail out undertakings like BEST, which are used by lakhs of commuters on daily basis,” Galgali said.



Laxmi Lobo

9 months ago

I think the mcgm is killing BEST to increase the pax for pvt cabs. One of the best toad transport systems in our country is being deliberately made useless. Many good, used routes are changed, non used routes pushed on and the ridiculous AC buses which have barely 3-7 pax will surely run at a loss. I'm sure the administration is also too heavy, drivers are surly and over paid perhaps.. Bus depots are being sold off to private developers, check Mahim. Just so much wrong

Rajan rules out rate cuts unless inflation tamed
Reserve Bank of Governor (RBI) Raghuram Rajan on Monday ruled out any further interest rate cuts till such time the inflation came down to the comfort zone, and once again asked commercial banks to lower the cost of credit to their customers.
"Inflation projections are still at the upper limits of RBI's inflation objective," Rajan said in his last Governor's Foreword to Annual Report released here, referring to the government-mandated level of 4 per cent annual retail inflation, plus or minus 2 percentage points.
"With the Reserve Bank needing to balance savers' desire for positive real interest rates with corporate investors' and retail borrowers' need for low nominal borrowing rates, the room to cut policy rates can emerge only if inflation is projected to fall further," he said.
In any case, the task of taking a call on the interest rates is to be handed over to a new Monetary Policy Committee, that will comprise three representatives from the central bank -- including the RBI Governor as its chair -- and three others to be chosen by the government.
Rajan also said the willingness of commercial banks to cut lending rates was muted, since the level of corporate investment had reduced the volume and scope of new profitable loans for banks. The stressed assets of the lenders was also preventing them from taking fresh exposures freely.
As regards growth, he said, while the economy was showing signs of picking up, it was still below the levels that the country was capable of. 
"The key weakness is in investment, with private corporate investment subdued because of low capacity utilisation, and public investment slow in rolling out in some sectors," said Rajan, who is scheduled to demit office on September 4 and hand over the reins to Deputy Governor Urjit Patel.
Disclaimer: Information, facts or opinions expressed in this news article are presented as sourced from IANS and do not reflect views of Moneylife and hence Moneylife is not responsible or liable for the same. As a source and news provider, IANS is responsible for accuracy, completeness, suitability and validity of any information in this article.


Is Socialtrade.biz another money circulation scheme?
SocialTrade.biz, owned by Ghaziabad-based Ablaze Info Solutions Pvt Ltd, claims to provide a unique concept of online barter system through its Social Media Exchange (SME). However, on probing further, the whole scheme looks like a money circulation scheme, where the user gets paid not for clicking on more 'likes' or promotions, but by enrolling more people in right-left (binary) combination. 
The website claims "Social Media Exchange acts as a platform where a give and take relationship is built between different customers. You make others popular and others advertise you in return. SME refers to reciprocity (exchange) between two or more actors, generally for mutual benefit."
Ablaze Info Solutions, under the SME offers four different ‘packages’ to earn money. This ranges from Rs5,750 to Rs57,500. On buying one of the packages, the user receives commission for daily tasks at the rate of 5Rs per click. The company does not mention what is ‘R’, but it appears to be denotation for rupees. In addition, there are promotional and referral income, which at present is 1000Rs for selling two packages in 1:1 business volume (BV) format. This is nothing but the binary format used by most multi-level marketing (MLM) operators. 
The company also claims to provide an income, based on the BV and social trade package (STP), of 50,000Rs to 2 lakh Rs per week, which is says is ‘capped’. It also deducts administration charges on the promotional income besides deducting tax at source (TDS) too.
There are few things or claims made by Socialtrade.biz that appear to be either inappropriate or not in right context. 
1. Legal documents: On its website, Ablaze Info Solutions displays small images of four documents, its PAN card, registration certificate, ISO certificate and service tax certificate issued by Central Board of Excise and Customs. For someone, who has no knowledge of company businesses, this may appear as sound reason to believe that the company as genuine. However, none of the legitimate companies need to display such kind of documents on own website. For example, check the website of Tata Motors, the country's largest vehicle manufacture. Such reputed companies have no need to display similar documents to show its 'legitimate business' like Socialtrade.biz.
However, most of the ‘legal documents’ displayed by the company are not relevant to its Socialtrade.biz. For example, the ISO certificate is related with IT business of Ablaze Info Solutions obtained before commencing Socialtrade.biz. 
2. TDS deduction: Socialtrade.biz says, "Company deducts TDS from both ‘Promotional Income’ and ‘Daily Task Payment’ and deposits it to Government as per the laws. Promotional Income – 5% from total income. Daily Task Income – 10% from total income."
This claim is bizarre. This is because Ablaze Info Solutions or anyone else simply cannot decide the rates for TDS. It is the job of the tax authorities. There are different types of rates for TDS depending upon the source of income as per the Income Tax Department. The claimed payout to members from Sociatrade.biz may come under Section194J of the Income Tax Act and would attract TDS deduction at a rate of 10% on total payouts and not depending upon the type of income, like promotional or daily task income.
3. Payout packages: As we all know, several sites like Google and Facebook pay money to sites hosting their ads. This is mostly based on cost per click (CPC) or click through rate (CTR). There is another factor, the keyword that decides the CPC or CTR. Most effective keywords and the subsequent CPC or CTR receives good rates from advertisers. However, for the hosting sites, the income is not too big (as claimed by Socialtrade.biz) and that too varies as per the total number of visitors and clicks on the particular advertisement. 
However, none of these appears to make any sense for Socialtrade.biz. Because it feels one person will pay the other for such clicks and vice versa and both will earn money! “On one hand, it allows you to increase your social penetration and internet popularity while on the other, you get paid for promoting others on social media, which implies a user is both a consumer and service provider,” the website says.
In short, as per the company claims, once you buy a STP 100 package by paying Rs57,500, you can earn a maximum of 2 Rs per week. 
According to one person, who is in this business, Socialtrade.biz says that it is promoting websites of clients. “However, most of the websites are not active and appears to be created in-house and yet they claim to pay five rupees for promoting these sites,” the person, who does not want to be named, says.
In short, the claims and use of attractive terminologies like Social Media Exchange may sound too good, but Socialtrade.biz shows all the signs of a money circulation scheme and nothing else. Few years ago, one company Speak Asia too entered in the market by claiming to provide big income by just filing out surveys on the internet. This claim and the company’s modus operandi were exposed by Moneylife. Main promoters of Speak Asia are absconding and the so called ‘investors’ who invested their hard earned money are doing rounds of the courts to recover their money. 
Since there is no email ID of Socialtrade.biz or Ablaze Info Solutions mentioned on their website, we sent them a message through their online facility. We will incorporate their response in this story as and when we receive it.  

Harpreet Singh

9 months ago

MLM companies are not fraud they. Work according to there system but the kind of reviews make them to stop
Where was you when they started
Now thousand of user have joined have you thought about them
So please do not think too much and provide bad reviews so that they can continue there work



In Reply to Harpreet Singh 8 months ago

Bhai jab company start hoti h to uske baare me koi nai jaanta. Lekin jab wo badi ho jati h to log uske baare me jaante h, fir uske review aate h .
Is post me kisi ko company join karne se roka thode hi h, bas logo ko saare points clear kiya h taki aage se koi soch samajh kar join kare.

Or bhai tere achhe khase pese lag rakhe honge is cmpny me.
Gubara to futega bas ye nahi pata kab futega.

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